Backgroundpaper-draft 2

MARINE FARMING : COUNTRY ANALYSIS – INDIA

Mohan Joseph Modayil, R. Sathiadhas & G.Gopakumar

Central Marine Fisheries Research Institute

Indian Council of Agricultural Research
(Ministry of Agriculture, Govt. of India)
Post Box. 1603, Cochin 682 018
India

1. Marine Aquaculture Products Demand, Trade and

Markets
Among the Asian countries, India ranks second in culture and third in capture fisheries
production and is one of the leading nations in marine products export. The present
marine fisheries scenario is characterized by declining yields from the inshore waters
and increasing conflicts among different stakeholders, whereas the increasing demand
for fish in domestic and export markets indicate good prospects for large scale sea
farming and coastal mariculture.

Contribution of fisheries to Indian GDP is about 1.2 % (2002-03) which forms about 5.2
% of the agricultural GDP. The mariculture potential of India is vast as there is great
scope for developing farming of shrimps, pearl oysters, mussels, crabs, lobsters, sea
bass, groupers, mullets, milkfish, rabbitfish, sea cucumber, ornamental fishes, sea
weeds etc. Although about 1.2 million ha is suitable for land based saline aquaculture in
India, currently only 13 % is utilized. In India till date mariculture activities are confined
only to coastal brackishwater aquaculture, chiefly shrimp farming. Shrimp is the most
demanded product from coastal aquaculture and India is the 5th top most shrimp
producer from culture. Farmed shrimp contributes about 60% by volume and 82% by
value of India’s total shrimp export. Share of cultured shrimp export is 78, 700 t valued at
INRi. 3,3000 million. The area under shrimp farming is about 135,000 ha and average
production is about 80,000 t /year. In recent years, the demand for mussels, clams,
edible oysters, crabs , lobsters, sea weeds and a few marine finfishes is continuously

i
US$ 1 = INR 45 approx.
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increasing and brings premium price in the international market. The other activities
which can be categorized as artisanal mariculture include green mussel farming, lobster
fattening, crab farming, edible oyster culture, clam farming and seaweed culture.
Farming of green mussel yields about 4500 t and farmed oysters 800 t, farmed
seaweeds about 1000 t while quantities produced are not significant for crabs, lobsters,
mullets and milkfish. A flourishing international trade of marine ornamental fishes is also
in vogue which offers scope for the culture of marine ornamental fishes.

The farming of shrimp is largely dependant on small holdings of less than 2 ha,
as these farms account for over 90% of the total area utilized for shrimp culture. Coastal
aquaculture is mainly concentrated in the states of Andhra Pradesh, Tamil Nadu, Orissa
and West Bengal. The long coast line of 8129 km along with the adjacent landward
coastal agro climatic zone and the sea-ward inshore waters with large number of calm
bays and lagoons offer good scope to develop mariculture in the country. Although the
techno economic feasibility of several mariculture technologies are already available,
lack of adequate infrastructure and lacunae in legislation block their take off.

1.1 Products demand, trade and market trends locally and

internationally
The mariculture related development in infrastructure, technology, processing,
value addition and trade in India are almost entirely targeted at and anchored on the
prospects for export and earning of foreign exchange. It is explicitly evident from the fact
that 50 % of the gross earnings generated from Indian marine fisheries is accounted for
by crustaceans and cephalopods. Further, more than 90 % of the aquaculture shrimp
production is meant for the export markets. The overall average unit value realized for all
fish in the domestic marketing system is about INR. 70 per kg as against INR. 148 per
kg in export marketing (2003-04). Export of marine products set an ever time record of
US $ 1.48 billion in 2004-05. Exports increased by 11.97 % in volume, 9.11 % in rupee
value and 11.10 % in US $ realization. The European Union emerged as the largest
market for Indian marine products accounting for 27 % of the total exports and USA
came in the second position with 23 % share in exports. Frozen shrimp continued to be
the main item in terms of value (64 % in the total export value) and frozen fish continued
to be the largest item in terms of volume (35 % in the total export). India’s share in the
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booming world trade of fish is less than 2 percent, which is very low considering the
huge export potential for exports. The ever expanding internal market also recorded
highest increase for fish and fishery products among all the food products. The dwindling
catch rates in capture fisheries and rampant disguised unemployment in the coastal
region focus towards the development of mariculture and coastal aquaculture as a
remunerative alternate occupation.

1.2 Role of aquaculture vs. fisheries as supply

Fisheries production pattern in India is presented in the Table 1.
Table 1 Fish Production and Average Annual Growth Rate, India

Year Fish Production in '000 tons Average Annual Growth Rate (%)
Marine Inland Total Marine Inland Total
1950-51 534 218 752 …….. ……. ……..
1960-61 880 280 1160 5.12 2.53 4.43
1970-71 1086 670 1756 2.13 9.12 4.23
1980-81 1555 887 2442 3.65 2.85 3.35
1990-91 2300 1536 3836 3.99 5.64 4.62
1991-92 2447 1710 4157 6.39 11.33 8.37
1992-93 2576 1789 4365 5.27 4.62 5.00
1993-94 2649 1995 4644 2.83 11.51 6.39
1994-95 2692 2097 4789 1.62 5.11 3.12
1995-96 2707 2242 4949 0.56 6.91 3.34
1996-97 2967 2381 5348 9.60 6.20 8.06
1997-98 2950 2438 5388 -0.57 2.39 0.75
1998-99 2696 2566 5262 -8.61 5.25 -2.34
1999-2000* 2834 2823 5657 5.12 10.02 7.51
* Provisional figure Note: The growth rates prior to 1992-93 represents annual average compound growth
rates
Source: Tenth Plan Document (Fisheries) Govt. of India, Fig from CMFRI, Kochi upto 1970-71, State Govts /
UT figure after 1970-71

The total fish production during the four decades (1950-51 to 1990-91) showed
an annual average compound growth rate that varied between 3.35 to 4.62 percent. In
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the early nineties there was a boom in total fish production followed by sluggish trend
due to decreasing pattern of marine production towards the end of the decade. It may be
noted from the analysis that the marine fisheries sector witnessed a slack production
trend in most of the years whereas the inland production was found growing throughout.
It can be broadly stated that marine fish production was growing with a compound
annual growth rate of 3.54 percent over the five decades since independence. On similar
basis, growth of inland fish production is dynamic over the same period with a growth
rate of 5.84 percent.

Fig. 1 Aquaculture production in India (from 1950 - 2003)

Source: FAO Fishery Statistics, Aquaculture production, 2003

In 2003, aquaculture alone contributed to one third of the total fish production in
India. Of the total aquaculture production of 22.2 million mt, production of carp was 1.87
million mt, giant river prawn was 30,000 mt and the marine shrimp P. monodon was
1,15,000 mt.
Aquaculture production from India in 2000 was 2,095 thousand mt worth US $
2,166 million. The shrimp exports from India during 2001-02 was 1,27,656 mt worth
INR. 4,1320 million. The cultured shrimp production during 2001-02 was 1,27,170 mt in
which 74,826 mt was exported fetching INR. 3,6450 million. The cultured shrimp
contributed about 60 % in terms of quantity and about 86 % in value of the total shrimp
exports during 2001- 02.
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In the seventies and early eighties, shrimp exports have been stagnating around
50,000 tonnes per annum and the export earnings were below INR. 3500 million. Before
20 years the price of white prawn was INR.8/kg and that of tiger shrimp INR.13/kg
(George, 1974). During the same period brown varieties had only INR.2-3/kg.
Sathiadhas et al. (1989) reported that the unit price for white prawns during 1986-88
was INR.40/kg. The price of tiger and brown were only INR.60/kg and INR.10/kg
respectively. During the last few years the prices of all aquaculture products have
increased considerably. However, with the development of shrimp culture since the mid
eighties, the shrimp exports began to rise significantly, both in terms of quantity and
value. The growth in value terms has been more spectacular, because the cultured
shrimps fetched more unit value, in comparison to the marine captured shrimps (Fig. 2).

Figure. 2: Contribution of aquafarmed shrimps in the

unit value realisation of marine exports

600

500 Average
unit value
400
Shrimps
Rs/kg

300
Cultured
200
shrimps
100

0
19 19 19 19 19 19 19 19 19 19 19 19
88- 89- 90- 91- 92- 93- 94- 95- 96- 97- 98- 99-
89 90 91 92 93 94 95 96 97 98 99 00
Year

The total shrimp exports and contribution by cultured shrimps to it are given in Tables 2
and 3. The share of aquafarmed shrimps in total shrimp exports has been continuously
increasing since the mid eighties. In 1988-89, the share of cultured shrimp was only 33%
by quantity. But at the end of 2000 it increased to 59%. Though the percentage of
cultured shrimps by quantity is half of India’s total shrimp exports, its contribution by
value is much more than that. The value, at INR. 2293.0 million in 1988-99 increased to
INR 38,700 million in 2000-01, which is 86% of the total shrimp exports in that year. This
value realization is mainly resorted to the bigger and uniform size composition of the
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cultured shrimps. There was a decline in contribution of cultured shrimps in 1994-95

and the subsequent two years, which was due to the disease outbreaks and the
stoppage of culture activities in the Coastal Regulatory Zone (CRZ) area and the
resultant decrease in production from aqua farms. During the three years (1998-99 to
2000-01) however, the culture production increased and the contribution also showed
significant rise, registering an all time high of 58.8% in terms of volume and 86.4% in
terms of value to the total shrimp exports.
The quantity of shrimp exports increased to 1,28000 mt in 2001-02 and 1,35000
mt in 2002-03. The value realized by the aquaculture shrimps has also gone beyond
80 % of the gross earnings of shrimp exports.

Table 2: Contribution of cultured shrimps (quantity) to the total shrimp exports from India
Total quantity of Quantity of cultured % contribution to
Year shrimp exports (mt) shrimp exports (mt) shrimp exports
1987-88 55,736 -- --
1988-89 56,835 18,300 33.00
1989-90 57,819 19,500 33.72
1990-91 62,395 23,075 36.98
1991-92 76,107 26,000 34.16
1992-93 74,393 30,550 41.06
1993-94 86,541 40,300 47.14
1994-95 1,01,751 53,853 52.92
1995-96 95,724 47,922 50.96
1996-97 1,05,426 45,945 43.58
1997-98 1,10,318 43,712 42.90
1998-99 1,02,484 53,712 52.41
1999-00 1,10,275 54,000 48.96
2000-01 1,11,874 65,894 58.90
2001-02 1,27,709 1,02,940 58.80
2002-03 1,34,815 1,15,320 60.08
(Source: Ganapathy and Viswakumar, 2001) Source: NGK Pillai & Pradeep K. Katiha, 2004)
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Table 3: Contribution of cultured shrimps (value) to the total shrimp export earnings from
India

Total value of Value of cultured % Contribution to

Year shrimp exports shrimp exports export value
(INR. Crores)ii (INR.Crores)
1987-88 425.78 -- --
1988-89 470.33 229.30 48.78
1989-90 463.31 259.74 59.57
1990-91 663.32 376.40 56.77
1991-92 966.16 544.76 55.81
1992-93 1,180.26 766.25 64.93
1993-94 1,770.73 1,288.93 72.79
1994-95 2,510.27 1,866.23 74.35
1995-96 2,356.00 1,531.69 64.09
1996-97 2,701.78 1,642.56 60.80
1997-98 3,140.56 2,086.00 66.42
1998-99 3,344.97 2,511.00 75.07
1999-00 3,645.22 2,782.00 76.32
2000-01 4,481.51 3,870.00 86.35
2001-02 4139.92 3845.00 85.63
2002-03 4608.31 3793.86 82.33
(Source: Ganapathy and Viswakumar, 2001) Source: NGK Pillai & Pradeep K. Katiha, 2004)

Coastal aquaculture is a significant contributor to marine fish production,

constituting mainly the shrimps like Penaeus monodon and P. indicus. However, vast
water bodies highly suitable for aquaculture and the varied biodiversity that has the
potential to capture new markets with a wide range of seafood products, have prompted
consideration of other candidate species like oysters, mussels, crabs, lobsters, scampi,
sea bass, groupers, sea cucumber, ornamental fishes and seaweeds in the new
aquaculture scenario in the country. Hatchery and rearing techniques have also been
standardised for many of these organisms. Coastal aquaculture in India is mainly
confined to shrimp culture. Considering the vast domestic market with huge demand for
fish, there is enough scope for diversification with other cultivable species like mud
crabs, fin fishes, oysters, mussels, sea cucumber, pearl oyster etc. Although India does

ii
One Crore = ten million INR
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not have the advantage of extensive shallow seas with calm waters, there exists many
potential mariculture sites which are still unutilized, offering tremendous scope for
mariculture. Low cost user friendly bivalve mariculture practices provide seasonal
vocation for the rural folk. Polyculture of different compatible species also offer a viable
alternative to shrimp farming. They require less input compared to shrimp culture and
are economically viable. Hence the promotion of location oriented, resource specific
mariculture is ideal for maintaining sustainable production without endangering the
existing environmental equilibrium of natural resources.

The major molluscan product exports from India include frozen mussel meat,
snail meat, freeze dried clam meat, boiled clam/whelk meat, seashells and dried clam
meat. South Africa became the largest market for frozen clam meat during 1999-2000,
with an import of 32 t worth INR.18.90 lakhs of clam meat (MPEDA). Katelysia opima,
Meretrix meretrix and M. casta were the major clam species exported from India.
Among the molluscan products freeze dried clam fetches the high unit value of
INR.430/kg. (see Table 4). Two kilograms of cultured pearls also were exported during
1996 which fetched a value of Rs3,57,000/kg of pearls. The scope for the export of
cultured pearls is enormous, which fetches high unit value. Hence, there is bright future
for sea farming of pearl oysters in India to produce export quality pearls.

Table 4. Frozen mussel meat exported from India along with revenue realised from
1996 to 2003..

Quantity Value Unit value

Year
(kg) (INR) INR / kg

1996 12133 8179938 67

1997 24773 1739989 70
1998 20513 1273226 62
1999 35989 1807231 50
2000 106445 7493917 70
2001 482097 29007630 60
2002 106937 9226164 86
2003 74982 4975491 66
(Source: MPEDA)
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Substantial quantity of crabs and crab products are also being exported from
India. The details of the live crab export from India are given in Table 5. The unit value
realized for live crabs increased from INR. 119 /kg in 1996 to INR. 195/kg in 2003
showing a steady increase in demand for live crabs in the international market.

Table 5: Live Crab trade

Unit
Value value
Year Quantity (kg)
(INR) INR/
kg
1996 2028430 240692690 119
1997 1482659 191712499 129
1998 1777198 306427388 172
1999 1503454 261008303 174
2000 1579704 260923450 165
2001 1190214 197306436 166
2002 1958748 400060486 204
2003 1455454 284341287 195
(Source: MPEDA)

Exports from crabs and crab products from India were mostly confined to four
types of products till recently. During 2000, the total number of crab products in India’s
export basket rose to 11, indicating there is an increasing demand for diversified crab
products. The different items in the export basket are crab shells, frozen cut swimming
crab, frozen mud crab, frozen crab claws, frozen whole crab, frozen soft shell crab,
frozen stuffed crab, frozen pasteurized crab, frozen crab meat, frozen cut crab with
claws and live crabs. Total crab exports were 1.1 % of the total marine exports in terms
of quantity in 1996 increased to 1.47 % in 2000. The crab exports stood 6197 mt in 2000
and the value realized was US $ 5.5 million in 2000 indicating their enormous scope in
the export market.
Annual yield from crab fattening was significantly higher than crab culture. About
5-6 crops could be obtained annually through crab fattening as against only 2 crops from
crab culture. Average yield from crab culture was 2800 kg/ha/crop and that from
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fattening was 3100 kg/ha/crop. Average Body Weight (ABW) of the crabs obtained
through culture was 800g, whereas that of fattening was 850 g. The weight increase
after 30-40 days of fattening was very little, ranging 50-100g. Average Feed Conversion
Ratio (FCR) calculated for 4-5 months culture was 4.9, which was higher compared to
that of other aquaculture species cultures locally.
The international demand for lobster is continuously increasing over the years
and the targeted fishing has led to over fishing of the same in our coastal waters.
Although the unit value realized for each products of lobsters enhanced, the overall
value has come down as more and more small sized lobsters were caught from our
open sea. It is a highly advisable to go for mariculture of lobsters wherever possible.
Table 6: Frozen Lobster exports (1999-2003)

Quantity Value Unit value

Year
(kg) (INR) INR / kg

1999 1363594 661542732 485

2000 1555166 802049638 516
2001 1125666 654731490 582
2002 1008394 575601161 571
2003 806290 380467756 472

Similarly demand for finfish also recorded a steady growth both in exports and
domestic markets over the last few years. Mariculture of mullets, groupers, Chanos
chanos etc is quite possible in view of their increasing unit value realization (Table 7)
Table 7: Frozen Finfish exports (1996-2002)

Unit
Quantity Value value
Year
(Tons) (INR.million) INR/
kg
1996 10093 3722.6 37
1997 173005 6369.2 37
1998 188029 7267.3 39
1999 126474 5257.7 42
2000 188822 7697.2 41
2001 185457 7614.9 41
2002 217195 9064.5 42
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The World Fish Centre and National Centre for Agricultural Economics and
Policy Research (NCAP) estimated the supply demand projections under different
scenarios. Accordingly, the annual production of inland fish in the year 2005 will be in
the range of 3.6 - 3.7 mmt, and will reach to 4.6 – 5.5 mmt in 2015, with an annual
growth rate of 2.9 – 4.0 percent under different scenarios. The share of inland fish in
total production, which was about 50 percent in the year 2000, will increase to 61
percent in 2015. The production of marine fish is likely to be in the range of 2.9 – 3.0
mmt in 2005, and 3.2 – 3.6 mmt in 2015. The fish production will grow at the annual rate
of 2.9 – 4.0 percent for inland and in the range of 1.2 to 1.8 percent a year for marine
fish. The share of marine fish in the total fish production will decline from 50 percent in
2000 to about 40 percent in 2015.
Varying estimates quantify the per capita fish consumption to around 8 to 10 kg.
per annum. However, demand for fish and fish products in future will substantially grow
due to escalating population growth. The domestic demand of fish will be in the range of
5.9 – 6.0 mmt in the year 2005. It is likely to grow to 6.7 – 7.7 mmt in 2015. The
consumption of fish is projected to increase from 5.2 mmt. in 1998 to 6.0 mmt in 2005
and 7.7 mmt in 2015. Out of this, in-home consumption will be about 66 percent, while
the rest will be consumed away from home and enter industrial processing. The annual
per capita consumption of fish is expected to increase to 16.7 kg by 2015.

Changing Consumer Preferences and Buying Patterns

The demand for fish is determined by factors such as increase in the number of
consumers and increasing preference for seafood backed by growing purchasing power.
The consumer preferences and patterns have shifted from sticking to cereals and other
items to more nutritive yet affordable animal products like fish. According to NSSO
figures, the per capita cereal consumption is declining, recording 0.52 % decline in rural
areas and by 0.23 % per annum in urban areas during the period of 1970-71 to 1991-92.
The shift in the dietary pattern may be attributed to diversification in the food basket in
favour of non cereal food items like egg, meat and fish. There is considerable product
diversification and market expansion of fishery products over the last three decades.
There is increasing demand for “ready to cook” or “ready to serve” type seafood,
hygienically prepared and attractively packed convenience foods to match the changing
needs of urban population. The seafood processing and marketing has become
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competitive all over the world and exporters are switching over to value addition to
increase profitability.
Aquaculture production and marketing are very closely inter-linked. Efficient marketing
along with sufficient infrastructure facilities to handle the products without spoilage can
ensure the sustenance of aquaculture production in the long run. (Chidambaram, 1988).
Amongst other marketing factors, role of intermediaries, share of producer in consumer
rupee and marketing expenses in each distribution channel are the major determinants
which decide the ultimate profitability of any aquaculture project (Gupta et al., 1984).
Hence, the present level of trade through different marketing channels of different
farming systems, price spread at various stages of its movement and share of producer
in consumer's rupee should be evaluated to evolve and formulate further strategies for
the development of aquaculture industry.
The aquaculture products especially shrimps are undergoing a lot of changes
during peeling and processing. The head-on raw material is converted into either
Headless (HL) product by removing the Head (35%) or into Peeled and Un-deveined
(PUD) and Peeled and De-veined (PD) products by removing Head, Shell and the gut
contents (50%). At various stages of the marketing system a unit weight of shrimp
undergoes considerable weight loss and corresponding price increase.
Export quality prawns are graded based on their size, weight and quality.
Domestic market products are graded into 2-3 groups based on their size. Marketing of
value added products of prawns and other aquaculture products like live crab export,
edible oyster and pearl oyster are gaining importance in recent years. The flow of
aquaculture products can be broadly divided into two categories depending on the
ultimate destination of the product. High unit value products like prawns are reaching
the export market and the low unit value products like finfishes and small crabs reach
the domestic market.

The Marine Products Export Development Authority of India (MPEDA) has listed
about 65 value added products, suitable both for export and domestic markets. Product
diversification always promote price discrimination and enable us to realize maximum
foreign exchange earnings. It further helps us to enhance the employment opportunities
of coastal and rural women. The emergence of value added products are accelerated by
the current demand pattern of the major seafood markets in exporting countries. People
have become more selective in their food choice and they are ready to spend more for
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food. All over the world, the tendency now is to take convenience foods such as
assembled meals rather than preparing from basic ingredients. The most advisable and
viable alternative to maximize our shrimp exports is through value added ready to eat
products. An additional export of almost 100,000 tons of value added products in our
marine products could easily corner about INR. 15000 million foreign exchange earnings
and generate regular employment opportunity to about 35,000 fisherfolk.

Market chain organization

Trade Flows and Market Chains

Fish passes through a number of hands before it reaches the ultimate consumers. Both
domestic and export marketing have entirely different flow of products through different
marketing channels. The flow of aquaculture products from producer to consumer on
export and domestic market are given in Figure 3. The export marketing system has five
main marketing channels where the products pass from one to four intermediaries. The
domestic marketing system can also be classified into five channels. There is
considerable variation in the unit price of products moving through export and domestic
marketing channels. Export marketing channels have five times higher unit price than
the products moving through the domestic channels. There is interrelationship between
the different intermediaries involved in the marketing flow.
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Producer

Export Marketing Domestic marketing

1. Commission agent
1. Financier cum agent 2. Wholesaler
2. Pre harvest contractor 3. Worker cum vendor

1. Pre-processing centre 1. Fisher women vendor

2. Wholesale collection centre 2. Retail Commission agent
3. Peeling shed agent 3. Local market agent

Processing Centres Retailer

Exporter

Buyer
Consumer

Consumer

Fig. 3. Marketing channels in domestic and export marketing in India

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Price spread is bound to increase within the proliferation of marketing agents performing
the service of procurement, assembling, storage, transportation, peeling, processing,
packaging, holding, clearing formalities and exporting. It will be influenced by the degree
of marketing control exercised by the government policies. An increase in price spread
will soon be resulted in the rise of consumer price.
In the best export marketing channel involves a maximum of two intermediaries such as
exporters and buyers between the producer and the consumer. This is the best
marketing channel for the producer, available in India under the present system of
aquaculture product marketing. This system of marketing is available mainly for the
commercial semi-intensive farms of Nellore, Guntur and Tuticorin. Here the exporter
owns a shrimp farm or he gives consultancy to other entrepreneurs through a buyback
agreement. Hence the exporter gets a regular supply of the product according to the
demand of the buyer. The harvested prawns are reaching the processing unit in the
best possible quality form. Here the producers are getting the maximum price for all
grades of prawns.
A marketing channel involving only the essential intermediaries such as exporter
cum processor and foreign buyer is the most suitable marketing system. A system of
well organized co-operative marketing along with financial assistance from MPEDA,
BFFDA, NABARD and state banks can enhance the producer's share and reduce the
role of financier cum agents and money lenders.
The successful experiment of mussel farming in Padanna demonstrates parallel
development of domestic marketing system is very essential for the introduction and
growth of any new product. Domestic consumption of mussel is very conspicuously
noticeable in Northern Kerala. Farmers have to harvest the fully grown mussels in May
itself and sell before the onset of monsoon to avoid mortality due to low salinity. At
present only few companies are purchasing mussel from farmers and the bargaining
power from the farmers side is very much restricted. There had been an instance in
which entire produce was made as value added products. The growth of Women Self
Groups and vertical integration for export marketing through ABAD group in 2003-04 is
highly responsible for the spread of mussel farming in this region.

Vulnerability Issues in Marketing

Uncertainty in supply and demand
Price fluctuations
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HACCP and Quality issues

Changing International Trade Regulations
Perishable nature of the products
Too many varieties and too many demand patterns
Assembling the products from too many distant and remote centres
Too many intermediaries in the marketing channel
Inadequate storage facilities
Lack of refrigerated transporting system
Lack of vertical and horizontal integration of markets

In the case of marine fish domestic marketing fish travels long distances from
coastal areas to interior parts of the country. The usual marine fish marketing channels
prevailing in India are as below:
1. Fisher - > Auctioneer–> Agents of freezing plants –> exporters
2. Fisher –> Auctioneer – >Processor(Dry fish) –> Wholesaler –> Retailer –>
Consumer
3. Fisher–> Auctioneer–> Wholesaler (Primary market) –> Wholesaler (Retail
market) -> Retailer –> Consumer
4. Fisher –> Auctioneer –>Commission Agent –> Wholesaler –> Retailer –>
Consumer
5. Fisher –> Auctioneer –> Retailer –> Consumer
6. Fisher –>Auctioneer -> Consumer

The major portion of the internal fish marketing takes place through 3rd to 6th channels.
The auctioneers of the primary market and commission agents of the secondary market
are also involved in the process without taking possession of the fish. The fish marketing
in India can be divided into two groups- domestic fish marketing and export marketing. In
India fish marketing has not developed fully on modern lines. There is a gradual
transformation from traditional to modern method of marketing with the advent of
improved transport, processing and storage facilities. The involvement of a number of
middlemen in the marketing chain adversely affects the interest of both fishermen and
consumers.
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2. Livelihood Opportunities related to Mariculture

Development

2.1 Poverty status and livelihood vulnerability of coastal

communities
The emerging economic growth, shifting dietary patterns in favour of fish
consumption and continuous price rise for different species of fish have increased the
demand for fish production, consequence of which constant improvements in
technologies are on vogue in order to increase the catch rate by introducing improved
craft and gear combinations and to preserve the quality of catch. The negative effects of
these new technologies include over exploitation of resources and inter-sectoral
conflicts. Apart from these, the socio economic scenario of the fisher folk is deplorable,
as they form one of the under privileged section of the community, affected by a number
of problems including inadequate employment, food security, closed seasons, dwindling
catch rates, problems in production, post harvest and marketing and indebtedness.

Increasing Poverty among Coastal Fisherfolk

The cornerstones of development agenda of a nation is based on the strategies
that rests on economic growth, poverty and inequality. The postulates of development
paradigm presume rapid elimination of poverty, equitable distribution policies and faster
economic growth between which a linkage may be derived. Poverty reduction in a
country is directly proportional to the rate of growth of income as well as equitable
distribution. The most thought provoking issue in this connection is of defining and
assessing what is the level of poverty; whether absolute or relative poverty has to be
considered. Absolute poverty is defined in reference to a poverty line that has a fixed
purchasing power determined to cover needs that are physically and socially essential.
The relative definition of poverty is based on the fixed proportion of some income
standard of the population. In India, the poverty estimates are based upon the absolute
poverty and according to NSSO 55th round data, the rural poverty line is defined as of
INR. 327 per month in 1999-2000 corresponding to 2400 Kcal per capita per diem and
 18

for urban India it was INR 454 per month corresponding to 2100 Kcal per capita per
diem.
In India rising poverty is of great concern and the official estimates of poverty
tend to vary very sharply from year to year. According to the results of the 55th round of
the National Sample Survey, the percentage of people below poverty line in India
decreased from 36% in 1993-94 to 26 % in 1999-2000. The vast majority of India’s poor,
estimated to be anywhere between 320-400 million, live in rural areas. A study by the
International Food Policy Research Institute (IFPRI) notes that while overall economic
growth has been impressive since the start of reforms in the early 1990s, positive impact
on rural poverty was not observed. The failure to reduce rural poverty is attributed to
declining public investment in agriculture, which provides a livelihood to 70% of Indians.
Trade liberalization in recent years has also led to extreme price volatility in many
agricultural products that has hurt poor farmers. Agriculture growth has declined in
recent years, from 5.0% in 1994-95 to a negative 0.9% the following year to a positive
growth of 9.6% in 1996-97 and a negative 1.9% in 1997-98 and is expected to decline
over the years.
The incidence and persistence of poverty in fisheries sector can be attributed
mainly to open access nature of marine fisheries, slow pace of aquaculture/ mariculture
development and unconstrained labour mobility (FAO, 2005). At times labour mobility to
fisheries is accentuated by social factors such as caste system prevailing in India.
Notwithstanding the above factors there is considerable growth of population within the
fishing community and the newer technologies are adopted that pave way to biological
and economic over fishing, lesser per capita production stressing the need for efficient
fisheries management essentially directed towards sustainable development ensuring
distributive justice. The economics of different craft gear combinations and per capita
earnings of fishing labour clearly indicates that the people living below poverty line is not
less than 60 percent in the coastal rural sector. It is explicitly clear that the coastal rural
people could not get much of the benefits of the economic development taken place in
our country since independence. It is researchable issue that the sustainable
development of FAO does not throw light on the factor of alleviating poverty. The Code
of Conduct for Responsible Fisheries as well as FAO's definition of sustainable
development, both do not call explicitly for giving special attention to combating poverty.
The policies for alleviating poverty in fisheries sector should focus on certain
specific points in addition to common measures adopted. The marine inshore fisheries
 19

resources are already over exploited and this result in loss of potential resource rents.
The capture of these resource rents by appropriate management efforts can add to the
economic growth in long run. Further the increasing adoption of newer technologies
coupled with inadequate use of property rights is an important cause of sectoral disparity
and inequitable income distribution. The policies pertaining to advent of alternative
avocations to fishers by providing the awareness, training and initial resource
capabilities can do better in the way of providing mobility to other sectors

Employment of the primary capture fisheries and aquaculture production sectors

in 1998 is estimated to have been about 36 million people, comprising about 15 million
full-time, 13 million part-time and 8 million occasional workers. Employment in
aquaculture (inland and marine) has been increasing and is now estimated to account
for about 25 percent of the total.(Govt. of India, 2001).
In spite of regional dimensions of economic growth in India, sectoral disparity,
inequality in income and poverty incidence in fisheries sector have been increasing
over the years. This information is important owing to the fact that inequality cumulated
over a period of time has substantial impact on the standard of living of people (Barro
and Sala-i-Martin, 1995). Further inequality in every respect pave way for unequivocal
negative effects on subsequent growth and development, thus upsetting the socio
economic fabric of the society resulting in conflicts in resource sharing and distribution.
The subject of income distribution is one of the most critical issues of development
economics and the conventional classical theories postulate inverse relationships
between inequality and growth. The recent resurgence of the issues concerning equity
and income distribution is closely related to emphasis on poverty reduction as the most
important goal for development effort (Kakwani, Khandkar and Son, 2004).
In spite of the planned economic development in the country aimed at reducing
spatial and sectoral disparities in income, one may notice that it has been rising over
time. Large disparities and negative growth rates undermine the integration of the
economies and social stability hampering long term economic growth of which fisheries
and aquaculture sectors are no exception. It can be observed that the physical
productivity of worker per unit of capital invested has declined steeply which is a
phenomenon characteristic of the open access resources subject to increased
commercialization (Kurien and Paul, 2001). The recent measure of liberalization of
transition economies, India being on list of the late adopters, aggravated the problem of
 20

disparities owing to the measures introduced that curtails the supportive measures
offered to fisheries sector.
The rise in inequality in the fisheries sector is resultant of the following factors.
i) Shift to capital intensive technologies and labour saving devices.
ii) Technological innovations leading to marginalization.
iii) Drop in the rate of labour absorption in the capture/mariculture
iv) Disguised unemployment.
v) Failure of coastal aquaculture/mariculture to emerge as an alternative
avocation.
vi) Lack of integration of mariculture with inshore capture fisheries.
vii) Lack of legislations for open sea mariculture.

2.2 Current experiences and better practice

The success story of IVLP by CMFRI
The Institution Village Linkage Programme (IVLP) for Technology Assessment
and Refinement (TAR) is one of the most important segments of National Agricultural
Technology Project (NATP) for testing, improving and refining technologies prevailing at
or generated for diverse production systems. Central Marine Fisheries Research
Institute (CMFRI) has implemented the programme in a coastal village, viz.,
Elamkunnapuzha in Ernakulam District of Kerala, since August 2000 to April 2005.
Altogether 31 techno-interventions are assessed and refined in farmer’s fields (13
fisheries, 5 livestock and 13 agriculture). A total number of 687 farm families have
participated in these interventions and the total population covered under this
programme is 3435. The programme has been successful in building instantaneous
linkages among farmers, fisherfolk, research institutions, agricultural universities and the
local extension system. It has imparted diverse packages of technical knowledge
through 15 field level training programmes in which 576 farmers, out of which 318
females, are participated. The overall impact of this intervention is highly promising and
is termed as ‘Elamkunnapuzha Model of Development’.

The most important impact of IVLP is the adoption of diversified aquaculture

practices by the farmers. The comparative yield levels of different fish culture under
recommended practices have shown marked improvements. Hitherto the farmers are
mostly concentrating only on shrimp-oriented aquaculture in the region. High price of
 21

shrimp coupled with export potential lead them blindly to go for this culture irrespective
of its suitability and cost of production. Shrimp culture for most of the farms is not ideal
but also less profitable than other fish/crab culture practices. Least cost combination of
factors of production coupled with high suitability of ponds for monoculture of crabs,
Mugil cephalus, Chanos chanos and polyculture of different types of finfishes has shown
profitability ranging from INR.2,00,000/ha for monoculture of milk fish to INR.7,00,000 /
ha for monoculture of juvenile crabs. The only constraint in the spread effect of crab
culture is the non-availability of hatchery-produced seeds.

Farmers have shown much enthusiasm in continuing their efforts in

commercializing the ventures. As far as fisheries-based interventions are concerned,
around 30 percent of the farmers are using leased ponds. The lease rate of ponds has
increased from INR.8500/ha during 2000-01 to INR.10,000/ha during 2003-04 in view of
the diversified utilization pattern and consequent increase in demand for ponds. The
seasonal employment pattern of fish/crab seed collectors also increased from about 80
to 120 labour days per annum. In the project village alone an area of 22.3ha, so far
unutilized, has been brought under different fish culture practices.

The livestock interventions proved as the most ideal supplementary avocation

suitable for the coastal agro ecosystem. The benefit-cost ratios of various animal
husbandry practices clearly indicate the need for adopting scientific management
practices. It provides maximum opportunity for optimum utilization of backyards of
homesteads and provides employment mostly to women. The annual household income
could be enhanced by INR.2,150 by growing 10 Gramalakshmi birds and to INR.10,000
by growing 5 broiler rabbits of Grey giant variety. The cultivation of paragrass in the
unutilized marshy lands has shown a potential yield of 10t/ha, indicating higher
prospects for the fodder-deficient Island ecosystem.

In agriculture-based interventions, cultivation of vegetables of improved variety

yielded better returns as mono-crop and inter-crop along the embankment of fishponds
and also along homesteads. Although the yield of snake gourd (Kaumudi) cultivation is
better than all other vegetables, the net earnings (INR.1,28,325/ha) are more for bitter
gourds (Preethi). The impact of nutrient management in coconut plantation has shown
an average increase of 30 nuts per annum per tree. This practice of nutrient
management for all coconut trees in the entire village may bring far reaching impact on
the rural economy. Since there are about 100,000 coconut trees in the study area alone,
 22

the impact of this single management practice alone could fetch additional revenue of
about INR.10 million in Elamkunnapuzha village, even if we assume an additional 20
nuts per tree per year with an average price of INR. 5 per nut.

The IVLP model has ensured the active participation of stakeholders throughout
the process of technology assessment and refinement. Participatory Rural Appraisal and
Livelihood Analysis have identified the location specific problems, potential solutions and
the extent of blending the prevalent indigenous knowledge with the scientific practices to
optimise the yield and earnings. Economic feasibility and high profitability in on-farm and
verification trials are visible and farmers have largely adopted the improved farming
practices. Integration of aquaculture with agriculture and animal husbandry practices has
shown potential of generating additional employment opportunities and enhancement of
disposable household income.
Comparative Economics of Mariculture practices
Table 8 : A comparison of economic indicators for different aquaculture practices.
Key economic ET EW CC CF MC EO MF
Indicators
Net 92,986 1,23,407 43,982 5,38,237 37,544 4,401 12,989
profit/ha(INR)
Net operating 1,47,877 1,61,812 64,319 5,87,557 47,146 6,018 14,928
profit/ha (INR)
Cost of 197 47 210 174 42 2.74 3.58
production /kg
(INR)
Profit/kg (INR) 92 63 55 99 22 1.25 1.92
Input Output 1.46 2.33 1.26 1.57 1.51 1.46 1.54
Ratio
Breakeven 693 846 640 3459 1160 2393 4411
production (kg)
Break even 68 43 79 64 66 69 65
production as %
of total
production
ET- Extensive tiger shrimp culture system;EW- Extensive Indian white shrimp culture system
CC- Crab culture system;CF- Crab fattening system; MC- Milkfish culture system
EO- Edible Oyster culture system; MF- Mussel farming system
 23

A comparative picture of the various economic indicators of different aquaculture

practices are given in Table 8. Cost of production was maximum for crab culture system
followed by extensive tiger shrimp culture system. When profit per kg was compared
across the different culture systems, crab fattening system topped the list, followed by
extensive tiger shrimp culture system and extensive Indian white shrimp culture system.
Net profit and net operating profit were higher for crab fattening system. Although profit
realized per/kg was maximum for crab fattening system, the inconsistent supply of crab
seeds prevents their large scale adoption. Although profit realized per kg was higher for
the extensive culture system of tiger shrimp, the high production costs indicated the
possible risk involved in case of a crop failure. Net operating profit of disease affected
tiger shrimp extensive culture system was negative whereas all other shrimp culture
systems affected by disease could manage a positive net operating profit. Extensive
Indian white shrimp culture system on the other hand had moderate profit per kg and
comparatively less production cost than the extensive tiger shrimp culture system.
Crab culture system was the first to achieve break even production, followed by
extensive tiger shrimp culture system and extensive Indian white shrimp culture system.
When the percentage of break even production to the total production was compared
among the different culture systems, extensive Indian White shrimp culture system came
first followed by crab fattening system. The economic indicators clearly show mussel
culture to be profitable than edible oyster farming. Although production cost per kg and
break even production was low for edible oyster farming system, all other indicators
favoured mussel farming.

2.3 Role of mariculture in poverty reduction as an alternative to

potentially destructive extractive fisheries

In the context of heightening demand for fisheries products, importance of

aquaculture has increased seemingly. Freshwater and brackish water fish culture forms
the main types of aquaculture activities in India. Mariculture, in spite of its vast potential
both on the landward and seaward side of the coastal line has not developed with the
exception of shrimp farming. Technological developments like pearl oyster culture,
edible oyster culture, mussel culture, lobster farming, crab culture, seaweed culture, sea
cucumber culture and culture of fin fishes have been developed by research institutes
 24

like CMFRI. Adoption of these techniques on a scientific basis can add to the income of
the farmer and thus raise the standard of living.
One of the most adaptable alternative systems that can be offered to the coastal
community is that of mariculture. The need of the hour is to organise proper
development, extension and training programmes on mariculture to the coastal
community. Also this effort should be backed up by effective institutional finance
linkages and forward and backward marketing linkages so as to ensure effective and
proper implementation of the programme.
Depending on the geographical and ecological diversities of the country, there
are vast differences in the availability and suitability of areas that can be developed for
mariculture and also in the candidate species available for cultivation. Species like
shrimps and the finfish like grey mullets, milkfish, pearl spot, seabass, groupers,
redsnapper, breams and pompanos are suitable for farming all along the Indian coast
especially along the south west and south east coasts. Other varieties like sea cucumber
could be cultured along the coasts of Tamil Nadu and Lakshadweep: pearl oyster along
the coasts of Tamil Nadu (Gulf of Mannar & Pak Bay), Kerala, Gujarat, Lakshadweep &
Andaman Islands: edible oyster in Andhra Pradesh , Tamil Nadu, Kerala, Karnataka and
Gujarat: mussels in Andhra Pradesh, Tamil Nadu, Kerala, Karnataka, Goa and southern
Maharashtra: windowpane oyster and red clam in Andhra Pradesh: clams in Kerala,
Karnataka, Goa and Maharashtra: and the sea weeds in the Gulf of Mannar , Gulf of
Kutch, Kerala Backwaters, Chilika Lake, Pulikat Lake and the lagoons and lakes in
Lakshadweep and Andaman & Nicobar Islands (Devaraj et. al, 1999).
The natural living resources of the Indian seas are rich, diverse and are
distributed in a variety of ecosystems/habitats ranging from the estuaries, saline
lagoons, low lying saline inundated marshes, inter tidal and sub tidal belt to beyond
shallow coastal shelf waters and have immense value and use of humanity. There has
been an uninterrupted hunt for the flora and fauna in most of the maritime countries to
quench the hunger as well as curiosity. Slowly but steadily the irrational anthropogenic
destruction coupled with several other activities like dumping of pollutants, land
reclamation, destruction of mangroves have ultimately caused environmental maladies,
resource depletion, habitat degradations and even in some cases denudations. Much of
these have taken place in the easily accessible coastal waters, fragile sensitive
ecosystems and have badly hit the more vulnerable and wanted target species and a
wide spectrum of low-value-high –volume bottom biota forming part of the marine food.
 25

2.4 Successful and unsuccessful examples of introduction of

mariculture into coastal communities

Mussel farming in Cheruvathur and Padanna in Kasargod District in Kerala:

A success story

Kasargod, the extreme northern district of Kerala is particularly notable for

mussel farming as it has been successfully accomplished by the women's Self Help
Groups ( SHGs ) for the past few years. These groups were given financial assistance in
the scheme namely, SGSY (Swarnajayanthi Gramaswa Rosgar Yojana) by the state
government which takes care of economic empowerment of weaker sections. Subsidies,
bank loans etc are the part and parcel of it and it essentially focuses attention on poverty
alleviation through organized Self Help Groups. This programme looks into training,
credit, marketing, technical knowledge and basic facilities necessary for the upliftment of
the poor. This study was undertaken in two major Panchayathsiii namely Cheruvathur
and Padanna in Kasargod district. Six Self Help Groups of women (three each from both
panchayats) were selected for the study.
The major expenditure required for mussel farming is for the materials such as
bamboo, nylon rope, coir, cloth, seed, etc. and labour costs essentially cover
construction, seeding, harvesting etc. The women's' groups constituted in the scheme
DWCRA started mussel farming as early as 1996-97 and are assisted by loan amount
worth INR. 8800 per member with a subsidy amount worth INR. 4400. The duration of
the loan is 5 years and the rate of interest is 12.5 % per annum. In addition to this, a
revolving fund of INR. 5000 was also provided without interest. When the SHGs are
economically empowered with the provision of loan facilities, the returns from mussel
farming help them to repay the loan slowly.
The loan was granted through Farmers' Service Cooperative Banks and North
Malabar Gramin Banks in Cheruvathur and Padanna panchayaths of Kasargod district.
Majority of the SHGs' showed considerable progress in repayment of the loans
interpreted as indication of the profitability of Mussel farming. The expenditure details of
the selected SHGs in the initial year of mussel cultivation are shown in the Table 1.

iii
Panchayat is the tiniest elected empowered body of people’s representatives in the local administrative
set up
 26

The Net Operating Profit in all the six SHG’s was computed and found as
substantially good which proves the profitability of Mussel farming in the initial trial itself
and since during the subsequent years, material costs such as those of bamboo, rope,
cloth and labour cost in construction etc. are negligible, this ensures reasonable profit as
a major consequence of adoption of Mussel farming enterprise bringing about economic
empowerment of rural women through organized Self Help Groups. The BC ratio for all
the six SHG’s was above 1 indicative of considerable economic viability and potential in
mussel farming.
The loan sanctioning, utilization, accounts maintenance and timely repayment
of loans etc. are all perfectly accomplished with proper maintenance of the documented
records by the group members. This ascertains the fulfillment of norms and standards of
the SHG leading to economic empowerment of the members.

An unsuccessful attempt in mariculture:

Case study of Mussel Farming in Karwar and Bhatkal of Karnataka State
Self Help Groups ( SHGs’ ) of fisherfolk were mobilised in Karwar and Bhatkal
locations of Karnataka coastal belts. Three SHG’s of 15 members each comprising a
total of 45 were mobilized in Majali ( Open Sea ) of Dhandebag and three SHG’s of 15
members each comprising a total of 45 were mobilized in Sunkeri of Kali estuary in
Karwar coastal belts in Uttar Kannada district of Karnataka state. Initially, two training
and demonstration programmes in these two sites in Karwar were undertaken, one for
raft culture in open sea in Majali of Dandebag and one for rack culture in Sunkeri of Kali
estuary. The training was imparted to 45 members of three Self Help Groups, each
possessing 15 members in 2 sites separately comprising a total of 90 participants.
Similarly In Mundalli river of Bhatkal estuary in Karnataka, 4 Self Help Groups of 15
members each exclusively of women fisherfolk mobilized under the NGO, ' Snehakunja '
comprising a total of 60 participants were trained on mussel farming.
The major expenditure required for mussel farming is for the materials such as
bamboo, nylon rope, coir, cloth, seed, etc. and labour costs essentially for construction,
seeding, harvesting etc. The SHGs’ of Majali and Sunkeri were mobilized by the project
team of CMFRI and the SHG’s of Bhatkal were mobilized by a NGO namely
Snehakunja. The first two trials and demonstrations were under the funding of CMFRI
and for the last one, only the technical helps during the training and demonstration were
offered by CMFRI. The yield particulars in all the ten SHG’s was noted and found as
 27

substantially good which proves the profitability of mussel farming in the subsequent
trials because the material costs such as those of bamboo, rope, cloth and labour cost in
construction etc. are negligible, this ensures reasonable profit as a major consequence
of adoption of Mussel farming enterprise bringing about economic empowerment of rural
women through organized Self Help Groups.
Mussel farming faces a number of impediments like water salinity, seed
availability, selection of location / site, climatic vagaries, identification of proper
beneficiaries and proper monitoring opportunities. The major problems and constraints
faced by the fisherfolk in mussel cultivation are as follows
• Unpredictable seed availability.
• Mortality of seeds during transportation.
• Reduced growth during certain years.
• Lack of depuration facilities.
• Lack of storage, cold room, cold chain
• Marketing of mussels.
• Social dynamics at the village level based on caste, politics.
The open sea mussel culture in this particular case met with the impediment of
unfortunate sabotage of the seeded mussel by some miscreants. It was rectified by
reseeding, but the yield was not that much conspicuous compared to the trials
undertaken in estuaries. All the SHG members are of unanimous opinion that the
government should come forward with suitable legislations for the allotment of water
spread area for open sea mussel culture and improved marketing facilities. Provision of
loans with reduced interest rates and freezer facility for storage of harvested mussels
can bring about a breakthrough in this sector in the near future.
Sea weed culture of Kappaphycus promoted by Pepsi Company is also an
example of vertical integration due to the big profit reaped into it as 100 times of the
production cost. Similar scope is there for Ornamental Fish culture

2.5 Markets and coastal community development linkages

Forward and backward linkages are essential for the sustenance of any
development initiative. Market oriented production rather than production oriented
marketing is to be opted to ensure efficiency in marketing and to overcome problems in
marketing. A need-based linkage building would certainly help in sustaining the marine
aquaculture initiatives. Linkages that need to be developed are with that of consumers,
 28

middlemen, agricultural/fisheries office, NABARD, banks and other financial institutions,

panchayat functionaries, NGO’s, marketing outlets, local organizations, researchers and
input suppliers.
Another linkage that is to be developed, though in the present vista is not much
emphasized is the consumers changing needs and wants. Though it is highly relevant in
the modern marketing contexts of branded consumer products, the idea can be very
much adopted in the fisheries marketing also. Consumers can be educated about new
products and can be encouraged to use new items of fisheries products. This is possible
through information dissemination through media. By the time the demand for these
items are generated, production can also be initiated by marine aquaculture activities. As
earlier stated adoption of this strategy can promote market oriented production.
A linkage that is essential in any development initiative is that of finance. An
activity that is not supported by financial assistance in the form of subsidy, credit and
grants are not sustainable. Hence adequate backward linkages from the financial
institutions/Government agencies have to be provided to ensure successful
implementation and continuation of the programme. Mariculture is not yet commercially
exploited on a large scale and adequate support and extension is required to extent its
adoption.
 29

3. Existing and potential mechanisms of technology

transfer
There are no mechanisms exclusively targeted at extension in the field of mariculture.
The Department of Fisheries of the state governments have extension officers who look
in to the specific extension agenda of the state department. The Brackishwater Fisheries
development Agency in maritime states also have some mechanisms for guiding
farmers and entrepreneurs. The Marine Products development Authority has officers
specially trained for the extension of shrimp farming. There are training programmes at
the state level and farmer level conducted by the state departments and MPEDA. State
Agricultural Universities in the maritime states through the Colleges of Fisheries also
have extension training and dissemination of information to farmers.

3.1 Training centres of excellence

There are no exclusive training centres in India for mariculture inIndia except for a
training hatchery established in CMFRI at Cochin. CMFRI is the nodal agency in the
country which conducts Masters and Ph.D level courses in Mariculture in India. It has
hatcheries in Mandapam, Vizakhapatnam, Tuticorin, Calicut and Cochin which are used
as training hatcheries. A centre of excellence in Mariculture is being developed at its
regional centre in Mandapam Camp where there is an extensive farm area to be
developed in to a large marine farm. A modern hatchery is under construction at
Mandapam. There is need for technical support and for organizing regular training
programmes in Mariculture as being done in SEAFDEC. CMFRI is also the NACA centre
for mariculture, with no programme ongoing at present. CMFRI is also the Centre of
Advanced Studies in Mariculture of the Cochin University of Science and Technology
There is great potential for developing a regular training programme here and updating
it in to a centre of excellence. CMFRI has a Division on Mariculture located at
Mandapam. The centre has over 14 scientists and over 100 technical and supporting
staff, guest house, running seawater facilities, laboratories etc. The MPEDA has a
hatchery at Vallarpadom for shrimp which was used for imparting training till a few years
back, but is not functional now. Some trainings are imparted by NGOs and VAs, with the
help of scientific organizations, but their impacts are low.
 30

3.2 Existing mechanisms of technology transfer and proposed

alternative mechanisms for effective dissemination of R & D for
farmers and other stakeholders
The transfer of technology (TOT) basically depends upon three systems i.e.
the Knowledge Generating System (KGS), the Knowledge Disseminating System
(KDS) and Knowledge Consuming System (KCS). The members of the KGS are
Research Institutes, the members of KDS consists of extension personnel and other
transfer of technology agencies. Besides this the KDS also includes the Input Supply
Agencies (ISA) such as Lead Banks, Fertiliser Corporations and Seed Suppliers'. The
main function of KDS is to transfer the technology to KCS and collect feed back and
pass it on to KGS. The KCS consists of farmers and actual users of technology. The
most effective transfer of technology is possible when all the three systems i.e. KGS,
KDS & KCS work in close co-operation. There should be an effective interaction and
desired relationship between all the three systems.

The Indian Council of Agricultural Research though basically a KGS has also
taken up the task of transfer of technology by launching various schemes in
collaboration with State Govts. (KDS) and agriculture Universities and voluntary
agencies. The various transfer of technology programmes launched by ICAR, are, All
India Coordinated Research Projects, National Demonstration Programme,
Operational Research Projects and Krishi Vigyan Kendra Trainers' Training Centres
and Lab-to-Land Programme. The scientists of the ICAR are actively engaged in these
transfer of technology programmes. This will develop the desired linkage between the
KGS (ICAR & Agricultural University KDS (State Govt., Voluntary and other Extension
Agencies) and the KCS (the farmers and users of the technology). This is a step in the
right direction and will narrow the gap between the research and the extension
systems.

Systems of Extension in India

In Indian context, broadly there are 4 major organizational streams to TOT

work for fisheries and rural development.
 31

1. The first line extension system comprising mainly the ICAR institutes
and state agricultural universities.
2. Extension system of Ministry of Agriculture / Fisheries and the State
Dept. of Fisheries.
3. Extension System of Ministry of Rural development and State
Development Departments.
4. Development work by The NGOs, business houses etc.

SCHEMES FOR TRANSFER OF COMPOSITE FISH CULTURE TECHNOLOGY

In India both Govt. and non-Govt. organisations are presently engaged in

dissemination of the technology of Composite fish culture through their various transfer
of technology schemes. Some of the important schemes are given below:

1 All India Coordinated Research Project on Composite Fish Culture.

2 National Demonstration.

3 ICAR/State Govt./Agricultural University Demonstration.

4 Voluntary Organization Demonstration

5 Operational Research Project.

6 CIFRI/IDRC Rural Aquaculture Project & CMFRI Mariculture projects.

7 Fish Farmers' Development Agencies.

8 World Bank Project.

9 Krishi Vigyan Kendra.

10 Trainers' Training Centre.

11 Lab-to-Land Programme.

12 Agricultural Technology Information Centre (ATIC) of ICAR institutions and

SAUs
 32

3.3 Present training activities and likely future requirements

Present training activities are limited to M.F.Sc and Ph.D. Courses in Mariculture at
CMFRI, Cochin. For a country if the size and scope as that of India, this is far too low.
There is need to upgrade the technical manpower, training capacities and infrastructure
with funding support for regular training in mariculture for farmers and entrepreneurs at
its Mandapam, Visakhapatnam and Calicut centres. India could develop as a major
player in mariculture by diversifying in to farming of finfish, mollusks, sea cucumber,
crabs, lobsters, seaweeds etc. Great potential exists and there is urgent need to develop
at least one centre of excellence in Mariculture with technical and operational support
from FAO/ NACA at CMFRI as it already has infrastructure, farm, hatchery and some
scientists working on research issues in Mariculture. At least 100 persons could be
trained every year in various mariculture technologies at this centre. Also, the MPEDA’s
Vallarpadam hatchery could be converted to a training centre by collaborating with
CMFRI. The hatchery at CIBA, Chennai could also be used for shrimp hatchery training.
CMFRI is upgrading its hatcheries at the other centres and establishing a national Fish
Seed Facility in Cochin for supplying fish seed to farmers. CMFRI also has commenced
an Open Sea Cage Demonstration Farm at four sites , two on the east coast and two on
the west coast. All these efforts together will help in developing the mariculture
activities in India in the next 5 years.
.
 33

4.0 Existing Major Mariculture Species and farming

Technologies

4.1 Status of farming of selected species

Details of the mariculture potentials of the country are presented below in

Table 9.

Table 9.Mariculture Potential in India

Sl. Area TA PCA (million ha) CCA CAP (tons)

No. (Million (million
ha) ha)
1 Coastal land based 2.5 1.2 0.14 85,000
(mainly shrimps)

2 Hinterland saline soil 200

aquifer based 8.5 100 (milkfish, mullets,
pearl spot, scampi)
Sea Farming

(a)Open sea (EEZ) 202 1.8 20 1500(mussel)

(inshore
0-50m depth)

(b) Bays, coves and gulf 10700 - -

-
(c) Estuaries and
backwaters - 2050 5 800(oysters)

(d)Island lagoons/lakes

Stock Enhancement 35,000 - - -

Programme
(a)Sea ranching 18(0-50m 18 Nominal Nominal(shrimp, pearl
depth) oyster,clams,sea
cucmber)
-
(b) Artificial reef -
Habitat 50 reefs 10
-
(c)Bottom Artificial - 150 FAD
reefs (FAD)

TA = Total area; PCA = Potential cultivable area; CCA = Current cultivated area;CAP = Current
Annual Production.
 34

Source : Devaraj et al. 1999

Table 10.
Marine organisms of aquaculture importance in India

Species Hatchery Rearing

Techniques Technique
Fishes
Mugil cephalus, Liza parsia,L. macrolepis,
Valamugil seheli,Chanos chanos, Etroplus
suratensis, Epinephelus tauvina,
E. dussumieri, Lethrinus spp., X X
Sillago sihama, Anguilla bicolor and Siganus spp.
Anemone fish, Chromis sp. and Lates calcarifer XX XX
Crustaceans
Penaeus monodon, P. indicus and
P. semisulcatus XXX XXX
Scylla serrata X XXX
Portunus pelagicus XX XX
Panulirus homarus, P. ornatus
P. polyphagus and Thenus orientalis X X

Molluscs
Perna viridis, P. indica, Pinctada fucata,
Crassostrea madrasensis, Anadara granosa,
Meretrix meretrix, M. castaand
Paphia malabarica XXX XXX
Trochus radiatus, Xancus pyrum,
Sepia pharaonis andLoligo duvaucelli X X
Seaweeds
Gracilaria edulis, Gelidiella acerosa, Porphyra sp.,
Sargassum spp., Ulva spp. and Euchaemia sp. XX XX
Seacucumber
Holothuria scabra XX XX
X = Techniques under development
xx = Techniques developed
Xxx = Techniques developed and commercialized
 35

Existing major mariculture species and farming technologies

Shrimp culture:

Shrimps being a highly valued export commodity, shrimp farming is considered a

lucrative industry. The current shrimp aquaculture production of India is around 100000
tons from an area of 0.12 million ha. spread over West Bengal, Kerala, Andhra Pradesh,
Tamil Nadu and Karnataka. Production-wise Penaeus monodon contributed 75% and
P.indicus 20%. Depending on the area of the pond; inputs like seed, feed and
management measures like predator control, water exchange through tidal effects or
pumping, etc., farming systems have been classified into four groups: extensive,
modified extensive, semi-intensive and intensive. According to Marine Products Export
Development Authority (MPEDA), which is the main agency promoting shrimp farming
through its various schemes and subsidies, during 2000-01, about 1,45,900 ha was
under shrimp culture, with an average production of 0.7 tons/ha/y. Currently, 80 percent
of the shrimp production comes from small and marginal holdings, with farms of less
than 2 ha constituting 49.2 percent of the total area under culture, between 2-5 ha (15.8
percent), 5-10 ha (13 percent) and the rest >10 ha. Presently, there are about 200
operational shrimp hatcheries with a total annual production capacity of 10.8 billion
seeds (PL 20), most of them located on the east coast, with state-of-the-art facilities.
There are also 33 feed mills with a total installed capacity of 1,50,000 tons to cater to
shrimp industry. Fluctuating marine fish production combined with increased demand for
shrimp in global market, successful demonstration of semi-intensive shrimp culture and
establishment of commercial hatcheries along the east coast of India have led to rapid
development of intensive/semi-intensive shrimp farms with a production of 5-10
tons/ha/crop in 4-5 months. Farmed shrimp production increased from 40,000 tons in
1991-92 to 82,850 tons in 1995-96 but subsequently, slumped to about 70,000 tons
between 1995- 97 as the fast pace of development failed to look at sustainability which
resulted in disease outbreak, crop failures, environmental degradation and social
tensions . Presently, most of the large farms run by corporate bodies have closed down
due to disease problems, public litigations and protests by environmental groups over
issues like salination of land and fresh water aquifers adjacent to shrimp farms, through
seepage. The farming community has now become more responsive to the concepts of
 36

environment-friendliness and sustainable aquaculture. Disease problems are being

overcome through adoption of closed system of farming (recirculation system, zero
water exchange) in grow outs, application of probiotics, secondary aquaculture of
selected fishes like mullets, milkfish, molluscs and seaweeds in reservoirs and drain
canals, adoption of indigenous, good quality seed and feed and reduction in stocking
density to 5-6 nos./sq. m in the farms. Preliminary trials of culture of P. monodon in
freshwater have shown fast growth and high production and have been adopted in many
farms along the Andhra Pradesh and Kerala coasts. Advanced molecular techniques like
Polymerase Chain Reaction (PCR) for early and rapid detection of viral pathogens,
which cause disease outbreaks, are also being used to prevent disease problems in the
grow out system.

Socio-economic development through integrated farming systems

and group farming experiments

In the coastal low lands (Pokkali fields in Kerala, Khar lands in Goa, Khazans in
Karnataka State and Bheri in West Bengal) along the west coast of India, there is a
traditional practice of shrimp farming in rice fields, which is done as a rotational crop
after rice harvest giving production up to 0.5 ton/ha/year. Fragmented holdings and poor
socio-economic conditions of these small farmers, for whom the aquaculture is a
livelihood activity, prevent the adoption of advanced technologies. Group farming
approach, which relies on synchronized farming operations and collective management
by the farmers of a locality is found to help increase production by improving the farmers’
access to required inputs and reducing the cost of cultivation. As part of its action,
research project on empowerment of rural communities through extension, the Central
Marine Fisheries Research Institute initiated group farming approach using shrimp
(P. indicus) – rice rotation culture through its Institute-Village-Linkage Programmes
(IVLP), designed to transfer technologies efficiently from lab to field and improve rural
economy. Besides achieving social and economic gains for the farmers, it was especially
useful in empowering women farmers, where women for the first time directly
participated in an area entirely dominated by men and production of scientifically
developed shrimp feed was taken up by women on a commercial basis . Unemployment
is a serious issue, especially in rural areas of India. Consequent upon the establishment
 37

of shrimp farms , employment is reported to have increased by 2-15 percent and the
average income of farm labourers has increased by 6-22 percent . The average labour
requirement for paddy cultivation was found to be 180 labour days/crop/ha compared to
shrimp farming where 2 crops were taken and labour requirement was 600 labour
days/crop/ha . Ancillary industries like hatcheries, feed mills, processing and ice plants
have also generated employment opportunities and boosted the rural economy. It has
also helped in the development of indigenous technologies, especially with regard to
feed and seed production. Imported shrimp feed is expensive and beyond the reach of
small farmers and special low pollution diets which cost half the imported feeds and yet
with an FCR of 1.5:1 has been developed indigenously and widely adopted by small
farmers in improved extensive farming ventures. In addition, production of this
scientifically formulated ecofriendly feed, Mahima, on a commercial basis, has been
taken up by women in certain villages, which has also aided in empowering them. In
shrimp hatcheries, a regular supply of healthy broodstock is necessary. However, the
supply of spawners from the wild is limited. Until recently, eyestalk ablation was the
widely adopted method to induce rapid maturation and spawning. Presently, the
technology has been developed to induce maturation and repetitive spawning using
environmental and nutritional manipulation strategies in shrimps like P. indicus and
P. semisulcatus .

Issues in shrimp farming

While extensive farming methods are sustainable and produce little waste,
intensive operations discharge effluents carrying nitrogenous excretory waste, uneaten
food, residues of chemicals and drugs that cause damage to the ecosystem. The quality
of effluent water from different systems of shrimp farming in India is generally believed to
be low without any serious impact on biodiversity .The Ministry of Agriculture (GOI) has
prescribed standards for shrimp farm waste water which is in the interest of the
aquaculturist to adhere and ensure sustainable production system. The MPEDA is also
extending assistance for setting up effluent treatment units in shrimp farms of 5 ha or
more water area, either singly or in a group. Conversion of mangroves and agricultural
lands are also serious reasons for conflicts arising out of competitive utilization of limited
 38

natural resources, although such practices have been minimal and mainly fallow and
unproductive agricultural lands have been converted.

There are also reports of salinization of ground water and agricultural land
through seepage from aquaculture ponds. Wild seed capture rampant before
establishment of hatcheries and the blocking of access to sea by large farms were also
causes for conflict with the capture fisheries sector, which has been resolved to a large
extent now.

In view of the numerous conflicts that arose and litigations by environmental

groups, the Coastal Regulation Zone (CRZ) notification, 1991 under the Environment
(Protection) Act, 1986, restricts construction of shrimp farms a landward boundary up to
500 m from high tide line (HTL) and has put an end to the construction of coastal farms.
While aquaculture development is controlled by local state governments, its overall
supervision is done by the Central Ministry of Agriculture, which in 1995, issued
guidelines for sustainable development and management of brackishwater aquaculture.
It seeks to discourage conversion of agriculture lands, mangroves and other ecologically
sensitive wetlands for aquaculture. Also, Environmental Monitoring and Management
Programme (EMMP) and Environment Impact Assessment (EIA) have been made
mandatory for shrimp farms of 10-40 ha and >40 ha, respectively, which require a ‘No
Objection Certificate’ from the State Pollution Control Boards for all the qualifying
aquaculture units. A National Aquaculture Authority has also come into force, which
consists of representatives of Pollution Control Boards, Revenue Authorities, Fisheries
Departments, Developmental bodies and Research Institutions, who have been
assigned the role of regulating shrimp culture in a sustainable manner in the country.
The code of practices for shrimp hatcheries and farms are also being issued by MPEDA.
Shrimp farming being more economical and rewarding than any other agricultural
farming (Table 3), suitable areas may be marked out for shrimp farming by an identified
Integrated Coastal Area Management Authority and coastal aquaculture may be suitably
integrated in an eco-friendly manner with other activities in the coastal region to reap
maximum benefits. In general, there is a greater awareness of the need to adopt
sustainable aquaculture methods like low stocking density, minimum usage of chemicals
and feeds and prevention of conflicts at most of the major shrimp farming centres.
 39

Table 11. Economics of shrimp aquaculture / hatchery

Enterprise Shrimp farm Shrimp hatchery Broodstock / nauplii

Facility
Area and production 1ha 0.3 ha 0.1 ha
Capacity 1.0-2.0 t/ha/crop 40 million 200 million nauplii/
PL20/year year

Species P. monodon P. monodon P. monodon

P. indicus P. indicus
P.semisulcatus P.semisulcatus

Farming method Modified extensive Broodstock Indoor tanks

Development
induced maturation,
larval and post larval
rearing.

Duration 4-4 ½ months 30 days /run 15 days

Economics (in Rs)

Initial investment 18,000 7, 60,000 38,500

Recurring cost 9,000 90,000 13,750

Total cost 27,000 3, 80,000 52,250

Production 3.12t (2 crops) 40 million PL20/yr 200 million nauplii/yr

Revenue 97,000 2, 62,000 50,000

Net profit 22,250 65,500 18,000

Source : ICAR 2000

 40

Lobster farming and Fattening

Increasing demand for live lobsters and crabs in the export market led the
farmers and entrepreneurs to collect juvenile lobsters and crabs from the wild and grow
to marketable size in ponds and tanks by feeding trash fishes and other discards. In
many maritime states juvenile lobsters, Purulei of Panulurus homarus, P. ornauts, P.
poyphagus and Thenus orientalis are grown in captivity and the eyestalk ablated
lobsters attained 180 – 200 g in 5 – 6 months period. This type of lobster fattening at a
stocking density of 10 – 15 young ones per square meter yielded appreciable growth
rates with a profit margin of INR.50, 000/- from a pond of 70 m2. Recently major
breakthrough in breeding and hatchery production of two species of scyllarid lobsters,
Thenus orientalis and Scyllarus rugosus was achieved by CMFRI. Successful hatchery
production of seeds of T.orientalis was accomplished for the first time in India and is the
second instance globally. Completion of larval cycle of T.orientalis was achieved in 26
days and S.rugosus in 32 days.

Crab farming / fattening

Live mud crabs (Scylla serrata, S. tranquebarica) being a much sought export
commodity, mud crab fattening was considered the best alternative. Seed stock consist
of freshly moulted crabs (water crabs) of 550 g which are stocked in small brackishwater
ponds at a stocking density of 1/sq. m or in individual cages for a period of 3-4 weeks
while being fed thrice daily with trashfish @ 5-10 percent of their biomass. Selective
harvesting is done according to size, growth and demand and the venture is profitable
because of low operating costs and fast turnover. Monoculture (with single size and
multiple size stocking) and polyculture with milkfish and mullets are being carried out on
a small scale, as the seed supply is still mainly from the wild. Experiments on breeding
and seed production of S. tranquebarica have given 20 percent survival rate from egg to
first instar stage and attempts are on to improve the survival rate for an economically
viable hatchery technology. Hatchery technology for breeding and seed production of the
blue swimming crab, Portunus pelagicus, has also been developed and four generations
of crabs have been produced by domestication. The hatchery seed is being mainly
utilized for stock enhancement programmes along the east coast.
 41

Table 12.Economics of three systems of mud crab farming

Culture Method Monoculture Polyculture Fattening

Species Scylla tranquebarica S. tranquebarica S.tranquebarica

S. serrata S. serrata S. serrata

Culture Period, days 120 138 30

Expenditure, INR. 43,860 48,400 56,200

(seed, feed, pond,
Preparation, labour)

Production, t crabs 0.78 1.14 0.56

and 0.7 tonne
milkfish

Income, INR. 1,57,200 2,61,200 1,22,850

Net profit /crop INR. 1,13,340 2,12,800 66,650

Source : ICAR 2000

 42

Edible Oyster Farming

CMFRI has developed methods for edible oyster (Crassostrea madrasensis) culture and
has produced a complete package of technology, which is presently being widely
adopted by small scale farmers in shallow estuaries, bays and backwaters all along the
coast. In the adopted rack and ren method, a series of vertical poles are driven into the
bottom in rows, on top of which horizontal bars are placed. Spat collection is done either
from the wild or produced in hatcheries, on suitable cultch materials. Spat collectors
consist of clean oyster shells (5-6 Nos.) suspended on a 3 mm nylon rope at spaced
intervals of 15-20 cm and suspended from racks, close to natural oyster beds. Spat
collection and further rearing is carried out at the same farm site and harvestable size of
80 mm is reached in 8-10 months. Harvesting is done manually with a production rate of
8-10 tonnes/ha. Oyster shells are also in demand by local cement and lime industry and
culture production has increased to 800 tonnes in the year 2000.

Mussel Farming

Raft method (in bays, inshore waters), rack method (in brackishwater, estuaries) or
longline method (open sea) are commonly adopted for mussel farming Perna indica and
P.viridis). Mussel seeds of 15-25 mm size collected from intertidal and subtidal beds are
attached to coir/nylon ropes of 1-6 m length and enveloped by mosquito or cotton
netting. Seeds get attached to rope within a few days while the netting disintegrates. The
seeded ropes are hung from rafts, racks or longlines. A harvestable size of 70-80 mm is
reached in 5-7 months and production of 12-14 kg mussel (shell on) per metre of rope
can be obtained. Attempts to demonstrate the economic feasibility of mussel culture has
led to the development of group farming activities in the coastal communities (especially
rural women groups) with active support from local administration and developmental
agencies like Brackishwater Fish Farmers Development Agency (BFFDA) and State
Fisheries Department. Cultured mussel production has increased from 20 tonnes (1996)
to 4500 mt in 2004 mainly through the rack system in estuarine area. Molluscan culture
technologies and their economics are given in Table 13.
 43

Table 13. Molluscan culture technologies and economics

Technology Edible oyster mussel farming Pearl oyster culture

farming

Species Crassostrea Perna viridis Pinctada fucata

Madrasensis P. indica

Farming method Rack and Ren Raft Cages suspended

(30 X 10m) (8 X 8m) from rafts / racks

Culture Period 8 months 5-7 months 12-15 months

Unit area 300 sq.m 64 sq.m Open sea; 6 rafts

And 600 box cages.

Economics (US$)

Initial investment 371 203 10,000

Recurring cost 139 357 4,419

Total cost 510 560

Production 5.83 tonnes shell 0.8 t shell- on

- on (0.48 tonne
meat)
 44

Revenue 736 934 Depends on

percentage
pearl production and
market value of pearl

Profit 226 303 30% (at 25% pearl

production.

Source: ICAR 2000

Pearl Oyster Farming and Pearl Production

In India, the marine pearls are obtained from the pearl oyster, Pinctada fucata.
Success in the production of cultured pearls was achieved for the first time in 1973 by
CMFRI Raft culture and rack culture in nearshore areas are the two methods commonly
adopted for rearing pearl oysters and recently attempts have been made to develop
onshore culture methods. Shell bead nucleus (3-8 mm) implantation is done in the
gonads of the oyster through surgical incision while graft tissues are prepared from
donor oysters of the same size and age group. Implanted oysters are kept under
observation for 3-4 days in the labs, under flow through system and then shifted to the
farm in suitable cages for rearing. Periodic monitoring is done and harvest is carried out
after 3-12 months. Pearls are categorized into A, B and C types depending on colour,
luster and iridescence. 25 percent pearl production has been successfully demonstrated
in a series of farm trials at various locations along the Indian coast. Research is also
directed towards development of a technology for in vitro pearl production using mantle
tissue culture of pearl oyster. The technology for mass production of pearl oyster seed
and pearl production has paved the way for its emergence as a profitable coastal
aquaculture activity at certain selected centres along the coast. Village level pearl oyster
farming and pearl production, through direct involvement of small scale fishermen have
been carried out successfully as part of technology transfer programme along the
Valinokkam Bay on the east coast (Table 14). Pearl oyster farming has already
generated income worth US $ 26,000 and several young women who are trained in pearl
surgery in pearl farms are finding ready employment in this developing industry. The
 45

CMFRI also imparts training on pearl culture to trainees in neighbouring Asian countries,
and various Memorandum of Understanding (MoU) have been signed with
entrepreneurs, desirous of pearl culture since 1996. Recently success has been
obtained in the production of Mabe pearls and tissue culture of pearls. Success was
achieved in the organ culture of mantle of pearl oyster and abalone. A breakthrough has
been achieved by developing a tissue culture technology for marine pearl production
using the pearl oyster Pinctada fucata and abalone Haliotis varia for the first time in the
world. This technology can be easily extended to other pearl producing molluscs and
gives ample scope for manipulation of pearl quality and also increased pearl production.
Mabe pearl production was standardized for production of base images with ten different
types of moulds .Technology for production of jewelry from Mabe pearl was also
standardized.

Table 14. Economics of pearl culture programme at Valinokkam Bay – A group farming
success

Number of oysters implanted 9414

Total expenditure incurred, US$ 1571

Rate of Return, % 56.7

Total pearls harvested 1849

Revenue earned from sale of pearls, US$ 2178

Pearls is distributed to fisherman 250

Revenue earned from sale of pearls US# 2178

Raft Cages Pearl oyster Pearl oyster Shellbead labour Miscella

(For implementation) ( for graft tissue) nuclei neous

24 18 24 2 17 6 9
 46

Clam Culture

Package of clam culture practices has been developed for the blood clam Anadara
granosa and Paphia malabarica, where production of 40 tonnes/ ha/6 months and 15-25
tonnes/ha/4-5 months have been achieved in field trials. Induced spawning and larval
rearing to setting of spat has been perfected for clams like P. malabarica, Meretrix
meretrix and Marcia opima.

Sea Cucumber Culture

More than 200 species of sea cucumbers are found in Indian waters mainly in the
Gulf of Mannar, Palk Bay and Andaman and Nicobar Islands. The most important
commercial species is Holothuria scabra, whose continuous exploitation has led to
depletion of natural population . Seed of H. scabra was produced in the hatchery for the
first time in India in 1988 through induced spawning using thermal stimulation and has
been used widely since then to produce seed for stock enhancement programmes.
Water quality is the most important parameter in hatcheries with ideal conditions being
temperature, 27-29oC; salinity 26.2 – 32.7 ppt, dissolved oxygen 5-6 ml/l; pH, 6-9; and
ammonia content, 70-430 mg/cubic metre . Larvae require different diets at different
developmental stages and algae like Isochrysis galbana, Chaetoceros calcitrans,
Tetraselmis chuii and Sargassum are used. Seed produced in hatcheries are grown in
velon screen cages (2 sq.m area), netlon cages (1.65 sq.m area, 5 mm mesh net),
concrete rings (70 cm dia x 30 cm height) and also at the bottom of prawn farms.
Artificial diets prepared with soyabean powder, rice bran and prawn head waste is used
for feeding juveniles and results are encouraging. Juveniles have been stocked @
30,000/ha and grown along with shrimps (P. monodon) in farms . Sea cucumbers being
detritus feeders, feed on waste shrimp feed and organic matter on the pond bottom,
reducing the organic pollution load in the farm. Being an eco-friendly practice, which also
provides an additional income to the farmer, it is expected to become popular among
farmers who have been facing problems of shrimp disease outbreaks in the recent past.
 47

Marine Finfish Culture

In the area of marine fish culture, the country is still in the experimental phase
only. Attempts are being made to develop suitable hatchery and farming technology for
mullets (Mugil cephalus, Liza macrolepis, V. seheli), groupers (Epinephelus tauvina),
seabass (Lates calcarifer), milkfish (Chanos chanos) and pearlspot (Etroplus
suratensis). The Central Institute of Brackishwater Aquaculture (CIBA) has developed an
indigenous hatchery technology for seabass using captive broodstock which were
stocked in large RCC tanks (12 x 6 x 2 m) with 70-80 percent water exchange daily.
Maturation process was accelerated using LHRH hormone injection and larvae were
maintained with rotifers and Artemia nauplii. Cooked and minced fish meat is used for
nursery rearing and survival rates up to 14 percent in larval rearing phase and 84
percent in the nursery phase have been recorded. Hormonal induction of Broodstock
development was achieved in groupers.

Ornamental Fish Culture

There are a wide variety of ornamental fishes in the vast water bodies and coral
reef ecosystems along the Indian coast, which if judiciously used, can earn a sizeable
foreign exchange. A long term sustainable trade of marine ornamental fishes could be
developed only through hatchery produced fish. Hatchery technology for clownfish
(Amphiprion sebae), damsel fishes (Pomacentrus caeruleus, Neopomacentrus nemurus,
N. filamentosus, Dascyllus trimaculatus) and the sea horse (Hippocampus kuda) has
been developed, which can be scaled up for mass production of these species.

Seaweed Culture

Around 60 species of commercially important seaweeds with a standing crop of

100,000 tons occur along the Indian coast from which, nearly 880 tonnes dry
agarophytes and 3,600 tons dry alginophytes are exploited annually from the wild .
Seaweed products like agar, algin, carragenan and liquid fertilizer are in demand in
global markets and some economically viable seaweed cultivation technologies have
been developed in India by CMFRI and Central Salt and Marine Chemical Research
Institute (CSMCRI). CMFRI has developed technology to culture seaweeds by either
 48

vegetative propagation using fragments of seaweeds collected from natural beds or

spores (tetraspores/ carpospores). It has the potential to develop in large productive
coastal belts and also in onshore culture tanks, ponds and raceways . Recently the
culture of the carageenan yielding sea weed Kappaphycus alvarezii has become very
popular and is being cultivated extensively along the Mandapam coast. To make the
seaweed industry more economically viable, research aimed at improvement of strains
of commercially important species by isolating viable protoplasts and somatic
hybridization techniques, is being carried out. The rate of production of Gelidiella
acerosa from culture amounts to 5 tonnes dry weight per hectare, while Gracilaria edulis
and Hypnea production is about 15 tonnes dry weight per hectare. Pilot scale field
cultivation of Kappaphycus alvarezii carried out in the nearshore area of Palk Bay and
Gulf of Mannar showed maximum increase in yield of 4.3 fold after 30-32 days in Palk
Bay and 5.7 fold after 22-34 days in Gulf of Mannar.

4.2 Priorities for development and research

Research thrust on seed production of crabs, lobsters, cephalopods and marine

finfish

The major constraint for the development and expansion of mariculture in India is
the lack of availability of seed for commercial level farming. Hence maximum research
thrust is required for the development of commercial level seed production technologies
for the suitable species of crabs, lobsters and marine finfishes. Eventhough seed
production of the swimming crab Portunus pelagicus is achieved , the survival rate to
seed stage is only about 5%. Technology upgradation is required to achieve commercial
level seed production. Similarly the success in the seed production of the sand lobster
T.orientalis also remains to be scaled upto commercial level production. In the case of
spiny lobsters, the larval rearing phyllosoma VIII still remains as a challenge due to the
prolonged larval phase of spiny lobsters. The experimental success obtained in the seed
production of squids and cuttlefishes (D. singhalensis, S.pharaonis , S.lessoniana and
S.inermis)have to be scaled up. Massive research input is required for development of
seed production technologies for many species of marine finfishes which are suitable
for open sea cage farming.
 49

Open sea cage culture

The open sea cage culture has been expanding in recent years on a global basis
and it is viewed by many stake holders in the industry as the aquaculture system of the
millennium. Cage culture has made possible the large scale production of commercial
finfish in many parts of the world and can be considered as the most efficient and
economical way of rising fish. It has now been realized that further conversion of
wetlands and mangroves into traditional aquaculture farms has to be limited. Cage
culture has several advantages over other culture systems. The cage culture system
can optimize the carrying capacity per unit area since the flow of current brings in fresh
water and removes metabolic wastes, excess feed and faecal matter. Simple cage
designs for inshore waters are relatively easy to construct with minimal skilled labour.
Cage culture is a low input farming practice with high economic return. The Indian coast
offers many ideal locations for cage farming. Potential sites include bays in Ratnagiri,
Goa, Karwar, Palk Bay, Larsons Bay, Gulf of Mannar, Lakshadweep islands and
Andaman and Nicobar Islands. The potential fishes for cage culture include groupers,
snappers, seabass, rabbit fish and Cobia. A few modern demonstration farms could be
set up at suitable sites by entrusting the work with developmental agencies of central /
state governments. The materials for cage farm and the technology for installation of
floating cage farms could be imported. Floating cage farming can be further expanded
after the techno-economic viability under Indian conditions is established through the
demonstration farms. The traditional practice of artisanal cage farming can also be
improved and expanded by extension and training programmes to the fisherman by
central / state govt. developmental agencies.

Popularisation of Bivalve Mariculture

Being in the lower part of the food chain, bivalves are energy efficient and cause
least pollution to the culture system and the environment. It can be carried out as an
artisanal mariculture programme and also as a large scale mariculture enterprise
oriented towards export market. Artisanal mariculture of mussels, edible oyster and
clams is being practiced on a small scale in certain parts of our coast. There is scope
for bivalve farming along Kerala, Karnataka and Konkan coast. State / Central
 50

government developmental agencies can be entrusted for the expansion of bivalve

farming in the suitable areas of the coast by giving training and extension programmes.
Mass scale industrial farming of bivalves can also be taken up with an export oriented
market.

Expansion of seaweed culture

The seaweed industry provides a wide variety of products that have an estimated
total annual production value of US$5.5–6 billion. Food products for human consumption
contribute about US$5 billion to this figure. Substances that are extracted from
seaweeds – hydrocolloids – account for a large part of the remaining billion dollars, while
smaller, miscellaneous uses, such as fertilizers and animal feed additives, make up the
rest. The industry uses 7.5–8 million tonnes of wet seaweed annually, harvested either
from naturally growing (wild) seaweed or from cultivated (farmed) crops. The farming of
seaweed has expanded rapidly as demand has outstripped the supply available from
natural resources. Commercial harvesting occurs in about 35 countries, spread between
the northern and southern hemispheres, in waters ranging from cold, through temperate,
to tropical. In this context, mariculture of seaweeds in the suitable areas of the coast has
to be promoted to industrial level production. Suitable areas for seaweed culture include
Tamil Nadu coast, Orissa coast, Okha Veraval coast and Konkan coast. Demonstration
programmes for artisanal seaweed culture could be organised by developmental
agencies in this area. Large scale culture of seaweed can also be demonstrated at Palk
Bay to asses the techno-economic viability for industrial level production of seaweeds.
Production of good quality agar/Carrageenan and development of appropriate marketing
system have to be taken up as priority programmes for the development of seaweed
industries in India.

Demonstration farms for pearl culture

The techno-economic viability of pearl culture still remains to be demonstrated in

India. Hence establishment of one or two demonstration farms through Central / State
developmental agencies is the immediate requirement before commercialization of this
programme.
 51

Development of artisanal mariculture programmes

Since the marine fish catch in recent years has been declining alternate small
scale livelihood programmes have to be evolved for coastal fisherman. In this context,
artisanal mariculture can play a vital role as an additional source of income. Artisanal
mariculture of bivalve molluscs, seaweeds, crab and lobster fattening are being
practiced in certain parts of the coast. Extensive training programmes could be
organized along Kerala, Tamil Nadu, Karnataka, Konkan and Orissa coasts for
promoting the artisanal mariculture practices.

Marine ornamental fish trade through hatchery production

In recent years, the marine ornamental fish trade is a global multimillion dollar
industry worth an estimated US$ 200-330 million annually and operated throughout the
tropics. Even though India is bestowed with food ornamental fish resources, wild
collection from coral reefs can lead destruction of the reef habitat. Hence development of
trade through hatchery production of fish offers wide scope. In the recent past, CMFRI
has developed technologies of hatchery production techniques for clownfish and few
species of damsel fishes. However the techno-economic viability of commercial level
production is yet to be demonstrated. Hence establishment of one or two demonstration
units at suitable areas like Lakshadweep, Andaman Nicobar and Gulf of Mannar coast
through State/ Central developmental agencies is the immediate requirement. In
addition, research on development of seed production technologies for suitable species
of marine angelfishes, gobiids and cardinal fishes deserve attention.

Establishment of seed banks for mariculture

The availability of seed is the basic requirement for any commercial level
mariculture enterprise. At present except for a few species pf shrimps, commercial level
seed availability is lacking for other suitable species for mariculture. Hence the
establishment of seed banks at appropriate locations is the basic requirement for the
development of mariculture. Seed banks for all the mariculture candidate species can be
 52

developed at appropriate locations. For those species in which hatchery produced seed
is not economically viable (Bivalve molluscs) and for those species in which hatchery
production technologies are not available (many species of marine finfishes), seed
banks could be developed from wild collected seeds. Lack for commercial level
hatchery production technologies is the major constraint for the development of marine
aquaculture in India. Hence research on seed production of species having culture
potential should be strengthened through research institutions.

Integrated farming of finfish and shellfish with seaweed

Integrated farming of fish and shellfish with seaweed can reduce the
environmental impact of industrialized mariculture and at the same tine add to its
income. Plants counteract the environmental effects of the heterotrophic fed fish and
shrimp and restore water quality. A one hectare land based integrated sea bream –
shellfish – seaweed farm can produce 25 tons of fish, 50 tons of bivalves and 30 tons
fresh weight of seaweeds annually. Hence modern integrated systems are bound play a
major role in the sustainable expansion of mariculture. A few front –line demonstration
farms on integrated farming of fish and shellfish with seaweed can be established at
suitable locations through Central/State developmental agencies to assess the techno-
economic viability.

Installation of artificial reefs and FADs

Artificial reefs and Fish aggregating Devices are known to attract fish. Hence
installation of artificial reefs and FADs at suitable areas of the coast can enhance fish
production. A few artificial reefs and FADs can be installed at suitable locations by
Central/State developmental agencies by involving fisherfolk participation. Regular
assessment of the impact of artificial reefs and FADs on enhancing fish production can
be done with the involvement of research institutions.
 53

Large scale sea ranching for stock enhancement.

It is well known that many of our marine fisheries resources are overexploited
leading to reduction of the concerned wild stock. In this context, large scale sea
ranching programmes can play ital role in the natural stock enhancement. Already sea
ranching of Penaeus semisulcatus is being carried out by CMFRI at Mandapam area.
Massive sea ranching programme for Penaeus semisulcatus can be taken up along the
east coast by developmental agencies through fisher folk participation. Regular impact
assessments of the sea ranching have to be conducted by involving research
institutions.

Development of Capture Based Aquaculture

Capture-based aquaculture (CBA) has been defined as the practice of collecting

“seed” material – from early life stages to adults – from the wild, and its subsequent grow
out to marketable size in captivity, using aquaculture techniques. This category of
farming includes the rearing of some species of finfish, most molluscs, and certain forms
of the extensive culture of marine shrimp. It has been estimated that it accounts for
about 20 percent of the total quantity of food fish production through aquaculture. Using
FAO data from 2001, this is equivalent to over 7.5 million tons per year, principally
molluscs. The production of finfish, especially carnivorous species (including milkfish,
groupers, tunas, yellowtails and eels), through CBA, is currently receiving the most
attention. CBA is an interface between capture fisheries and true aquaculture and
provides an alternative livelihood for local coastal communities in developing countries
and several industrialized countries. In India since the seed production technologies of
many species are either not standardized or commercially viable, the practice of CBA
can be developed with proper management.

Conservation Mariculture

The populations of many marine species are constantly declining and are in the
process of getting endangered. These include species of Trochus, Turbo, chank, sea
cucumber and sea horse. Stock replenishment through large scale seed production and
sea ranching will be a positive step towards the conservation of these species. CMFRI
 54

has successfully developed hatchery techniques for some of the species. However
future research thrust in this sector is very much warranted.

4.3 Identification of better management practices and systems to mitigate

environmental impacts
The following better management practices are suggested for shrimp culture,
bivalve culture and seaweed culture.
(a) Shrimp Culture
1. Scientific extensive and semi-extensive farming
2. Two tons ha-1. year-1 production for extensive and five tons ha-1.year-1 from semi-
extensive in two crops.
3. No construction within the natural mangrove area or ecologically sensitive
wetlands swamps etc.
4. Conversion of agricultural land / mangroves for aquaculture should be
discouraged.
5. Environmental impact assessment (EIA) should be made at the planning stage
itself for farms above 40 ha.
6. Stocking density should be less than 5 PL sq m-1 and 15 PL sq m-1 for semi-
extensive farms
7. Use of wet diets to be avoided
8. Use of inorganic fertilizers pesticides hormonal growth promoters and antibiotics
in the farm should be avoided.
9. Introduction of imported shrimp seed and use of exotic seed should be
prohibited.
10. About 10% of the total pond area to be provided for wastewater treatment.

(b)Bivalve Farming
Plants counteract the environmental effects of the heterotrophic fed fish and
shrimp and restore water quality. Hence integrated farming of finfish and shellfish with
sea weeds will prove to be more ecologically sustainable in addition to being more
productive.
 55

(c) Seaweed Farming

Seaweed culture is presently carried out in coastal waters using bamboo rafts.
If these rafts are deployed in the same area, it would not only adversely affect the
nutrient availability and phytoplankton production, but also fisheries, movement
of boats, fishing operations, traditional rights etc. Thus areas are to be identified
for seaweed farms. Also, the culture ropes can be integrated with the mussel
culture rafts as already done by the mussel farmers in the Kasargod area. This
will help to great extent in preventing the mussel farms adversely affecting the
culture sites as the high nutrient load consequent to the mussels’ mantle cavity
outputs. The growth rates of seaweeds in such farms also have been found to be
several folds higher. A package can be developed on these lines to have an
environmental friendly mussel-oyster-seaweed farm along the coasts.

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Authors: Prof. Dr. Mohan Joseph Modayil is Director, Central Marine Fisheries Research Institute,
(CMFRI), Cochin, India. Dr. R. Sathiadhas is Head of Division, Socio-Economics and Technology
Transfer, CMFRI. Dr. G. Gopakumar is Head of Division, Mariculture, CMFRI.